The present invention relates to a compensator assembly for a motorcycle engine. During individual engine combustion events, torque pulses are transmitted from the engine piston through the connecting rod and into the engine crankshaft. To reduce the transmission of these torque pulses from the crankshaft, through the primary drive, and into the transmission, a compensator assembly is positioned between the crankshaft and the primary drive sprocket that operates to reduce or dampen the torque pulses. Reduction of these pulses in this manner reduces wear on the other engine and transmission components and also enhances motorcycle drivability by providing a smoother transfer of power to the rear wheel.